The HDB Yearly Worth is the estimated gross yearly hire a property could command if it had been rented out, excluding home furnishings, furnishings, and maintenance charges. This worth, based on the Inland Profits Authority of Singapore (IRAS), is an important Think about calculating the annual home tax and is not determined by the flat's current market sale price. IRAS critiques the Annual Value of all Homes every year, making an allowance for the industry rentals of comparable or equivalent Attributes in the vicinity, in addition to the home's measurement, area, and issue. The best way the Yearly Worth is determined remains exactly the same regardless of whether the flat is owner-occupied, vacant, or rented out. Assets tax is then calculated by multiplying the Once-a-year Price with the prevailing tax fee, and that is progressive and differs substantially among owner-occupied and non-operator-occupied Houses. click here For proprietor-occupied HDB flats, tax charges are substantially lower to encourage dwelling possession.